MGM's BetMGM Expands Reach With USA TODAY Sports Partnership
MGM Resorts International's MGM sports betting and iGaming brand, BetMGM, has entered a multi-year partnership with Gannett Co., Inc. (GCI) to act as the preferred online sportsbook and casino partner for USA TODAY Sports.
Per the agreement, BetMGM will provide sports betting odds and detailed betting information across the extensive USA TODAY Network, which spans more than 200 local U.S. markets in 43 states. This partnership will also leverage over 300 digital news and media brands within the network's portfolio to enhance its reach and coverage.
BetMGM's sports betting odds, including moneylines, spreads and over/unders, will be integrated into content across the USA TODAY Network. The Bet Now feature will also be available. BetMGM Sportsbook and BetMGM Casino will be listed as partners in website footers. The company aims to leverage this partnership to enhance fan engagement with sports betting throughout the football season and beyond.
Sports Betting to Boost MGM's Growth
Sports betting and iGaming continue to be a major growth driver for MGM. The company continues to focus on sports betting expansion. During second-quarter 2024, the company reported notable progress in its digital strategy, particularly with BetMGM and the acquisition of LeoVegas. The company advanced its ownership of technology by acquiring Push Gaming for proprietary content and Tipico’s U.S. sports betting platform.
The recent introduction of a Live Dealer product in partnership with Playtech further enhances its digital offerings. On the international front, MGM reported substantial developments, including an in-house sports product and live dealer features for online gaming.
BetMGM remained profitable in the second quarter, largely driven by the iGaming business, which generates around $400 million annually. The company achieved significant strides in enhancing its sports product through key partnerships. Management remains confident in the brand’s long-term growth, emphasizing the value of their strategic partnership and ongoing commitment to business expansion.
MGM’s Price Performance
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Shares of this owner and operator of casino resorts through wholly-owned subsidiaries have lost 17.4% in the past six months against the Zacks Gaming industry’s 10.8% growth. Although the company’s shares have underperformed its industry, MGM’s ongoing focus on sports betting and iGaming, along with international expansion, asset-light strategy and non-gaming activities is likely to foster growth in the upcoming period.
Zacks Rank & Other Key Picks
MGM Resorts currently carries a Zacks Rank #2 (Buy).
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